Recieved BoA FedEx today for loan modification

[ScaredINMich]

So....we giving up our home in our CH. 7, but do we still fill out this paperwork?

My lawyer told us that this would be coming and to fill it out to give us more time. BUT...we are moving out of state in July so I didn't know if it was worth it.

Thoughts?

[Pandora]

How fast does your state foreclose? If your lawyer feels it will be before July when you move out of state, then fill it out but do not reaffirm anything; if after your proposed move date - then dont fill it out.

[newbie2]

Michigan is a 6 month foreclosure timeline from NOD. As long as you are living in the home you have that 6 month right of redemption. (If you vacate the home the lender can accelerate the process to 30 days.) You're fine. If your timeline is July on moving you don't have to bother with the modification. Caveat: This info is based upon the foreclosure process not having started yet.

[ScaredINMich]

Thanks!
The foreclosure process hasn't started yet...we've only missed 2 payments, but they probably got our filing of our Ch. 7 last week.

[helpme2010]

Don't forget it takes months for the chapter 7 to run its course. e.g. a month from filing then you go to the 341 hearing, then it takes what 2 or 3 more months for the discharge. Then your mortgage company waits a period of time before the foreclosure process gets rolling, then you have some more time after that. If you are guaranteed July move out, then it sounds like you have plenty of time in the house. If not, it never hurts to fill out a loan mod package as it can buy you more time and doesn't commit you to anything. They usually stop moving forward while they review your documents, then if they accept, they will send you a loan mod or forbearance plan. You don't have to accept the plan.

I would fill it out just as a backup plan in case your move gets delayed.

[SunshineGal]

Hi -Just to clarify, Google the Michigan Right of Redemption. Basically, you have 6 months from the date the lender actually sells the house on the courtsteps to buy back your property. If you don't pay off the loan within the 6 months, than the lender can file for eviction and you have another 30 days. Be careful though, if you exceed it they can put all your stuff at the street and padlock the house. FYI - I'm not attorney, just learned this through a friend who went through it in MI.